Singapore’s financial services sector grew 6.8% in 2024, more than double the 3.1% growth in the preceding year. However, this growth should slow in the coming years, says Chia Der Jiun, managing director of the Monetary Authority of Singapore (MAS) at a July 15 media briefing.
“Looking ahead, we do not expect financial sector growth to continue at the pace of the last few years,” says Chia at the release of the central bank and regulator’s annual report for the financial year ended March 31.
The sector’s growth in the past few years has been “unusually strong”, says Chia. With global uncertainty, economic activity is expected to “come down”, as will financing activity, he adds.
“If the global economy is able to adapt to a reasonable level with [the] trade tariff policy, then maybe the worst will not happen to financing utilities, so there’s a range of possible outcomes. But certainly, you can’t expect the pace of the last few fears to continue,” says Chia.
Overall, Chia notes that the sector’s average growth rate of 4.7% from 2021 to 2024 is “on track” to meet the Financial Services Industry Transformation Map (ITM) 2025 target of 4% to 5% growth between 2021 and 2025.
The target was unveiled by Prime Minister Lawrence Wong at a launch event in September 2022, where he stated that over 3,000 Singaporeans held senior roles in the financial sector, up more than 80% compared to 2016.
According to Chia’s July 15 speech, Singapore’s financial services sector created net jobs of 4,400 annually between 2021 and 2024, with more than 90% of these jobs going to locals.
Asked about the seniority of these new roles, Leong Sing Chiong, MAS’s deputy managing director (markets and development), says there has been “a good spread”, “ranging from entry level to mid-career” positions.
“We are seeing a positive job creation across different types of roles, so it covers tech, as well as non-tech. For the non-tech roles, it covers roles relating to business management, portfolio management, as well as relationship management.”